Stock Analysis on Net

Analog Devices Inc. (NASDAQ:ADI)

Enterprise Value to EBITDA (EV/EBITDA) 

Microsoft Excel

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

Analog Devices Inc., EBITDA calculation

US$ in thousands

Microsoft Excel
12 months ended: Oct 28, 2023 Oct 29, 2022 Oct 30, 2021 Oct 31, 2020 Nov 2, 2019 Nov 3, 2018
Net income 3,314,579 2,748,561 1,390,422 1,220,761 1,363,011 1,495,432
Add: Income tax expense 293,424 350,188 (61,708) 90,856 122,717 143,085
Earnings before tax (EBT) 3,608,003 3,098,749 1,328,714 1,311,617 1,485,728 1,638,517
Add: Interest expense 264,641 200,408 184,825 193,305 229,075 253,589
Earnings before interest and tax (EBIT) 3,872,644 3,299,157 1,513,539 1,504,922 1,714,803 1,892,106
Add: Depreciation 334,704 283,338 231,275 233,775 240,677 228,525
Add: Amortization of intangibles 1,958,399 2,014,161 843,359 577,148 570,574 570,538
Earnings before interest, tax, depreciation and amortization (EBITDA) 6,165,747 5,596,656 2,588,173 2,315,845 2,526,054 2,691,169

Based on: 10-K (reporting date: 2023-10-28), 10-K (reporting date: 2022-10-29), 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03).

Item Description The company
EBITDA To calculate EBITDA analysts start with net earnings. To that earnings number, interest, taxes, depreciation, and amortization are added. EBITDA as a pre-interest number is a flow to all providers of capital. Analog Devices Inc. EBITDA increased from 2021 to 2022 and from 2022 to 2023.

Enterprise Value to EBITDA Ratio, Current

Analog Devices Inc., current EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in thousands)
Enterprise value (EV) 100,818,229
Earnings before interest, tax, depreciation and amortization (EBITDA) 6,165,747
Valuation Ratio
EV/EBITDA 16.35
Benchmarks
EV/EBITDA, Competitors1
Advanced Micro Devices Inc. 74.93
Applied Materials Inc. 19.55
Broadcom Inc. 29.11
Enphase Energy Inc. 24.63
Intel Corp. 18.61
KLA Corp. 21.34
Lam Research Corp. 21.45
Micron Technology Inc. 43.11
NVIDIA Corp. 61.69
ON Semiconductor Corp. 10.07
Qualcomm Inc. 19.14
Texas Instruments Inc. 17.37
EV/EBITDA, Sector
Semiconductors & Semiconductor Equipment 46.86
EV/EBITDA, Industry
Information Technology 29.91

Based on: 10-K (reporting date: 2023-10-28).

1 Click competitor name to see calculations.

If the company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.
Otherwise, if the company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.


Enterprise Value to EBITDA Ratio, Historical

Analog Devices Inc., historical EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Oct 28, 2023 Oct 29, 2022 Oct 30, 2021 Oct 31, 2020 Nov 2, 2019 Nov 3, 2018
Selected Financial Data (US$ in thousands)
Enterprise value (EV)1 95,938,101 90,858,768 99,766,443 54,668,030 47,157,856 38,674,976
Earnings before interest, tax, depreciation and amortization (EBITDA)2 6,165,747 5,596,656 2,588,173 2,315,845 2,526,054 2,691,169
Valuation Ratio
EV/EBITDA3 15.56 16.23 38.55 23.61 18.67 14.37
Benchmarks
EV/EBITDA, Competitors4
Advanced Micro Devices Inc. 65.81 22.63 34.19 62.10 82.59
Applied Materials Inc. 15.75 11.04 17.54 16.82 14.60 6.24
Broadcom Inc. 26.42 13.54 19.72 18.89 16.32 12.21
Enphase Energy Inc. 27.19 55.15 99.19 155.30 62.22
Intel Corp. 18.96 6.20 6.02 6.40 8.73
KLA Corp. 15.67 14.97 19.26 18.10 14.14 10.91
Lam Research Corp. 15.35 11.34 16.67 17.76 10.07 7.08
Micron Technology Inc. 32.38 3.26 6.05 6.46 3.90 2.41
NVIDIA Corp. 95.68 57.59 58.96 52.90 21.10
ON Semiconductor Corp. 10.57 11.65 14.40 20.27 11.13
Qualcomm Inc. 12.82 7.84 12.76 19.49 10.55 28.47
Texas Instruments Inc. 16.36 14.69 15.54 21.75 17.73
EV/EBITDA, Sector
Semiconductors & Semiconductor Equipment 26.00 14.60 15.64 15.01 11.62
EV/EBITDA, Industry
Information Technology 23.37 18.32 20.41 19.60 14.44

Based on: 10-K (reporting date: 2023-10-28), 10-K (reporting date: 2022-10-29), 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03).

1 See details »

2 See details »

3 2023 Calculation
EV/EBITDA = EV ÷ EBITDA
= 95,938,101 ÷ 6,165,747 = 15.56

4 Click competitor name to see calculations.

Valuation ratio Description The company
EV/EBITDA Enterprise value to earnings before interest, tax, depreciation and amortization is a valuation indicator for the overall company rather than common stock. Analog Devices Inc. EV/EBITDA ratio decreased from 2021 to 2022 and from 2022 to 2023.